Weekly marketing wisdom you can read in 5 minutes, for free. Add remarkable ideas and insights to your inbox, once a week, by subscribing to our newsletter.
Why Bid on Branded Terms?
What are branded search terms?
Branded terms are words or phrases that include a brand name. For example, if you searched for “Nike shoes,” “Nike” would be the branded term.
Branded terms are important for companies because they can help create awareness and loyalty for their products. In many cases, they are more likely to generate conversions than generic keywords.
If you’re a company with a strong brand, branded keywords can be a powerful tool in your marketing strategy. But it’s also important to monitor how your branded terms are being used so you can adjust your strategy as needed.
For example, if you notice that people are searching for your branded term + “coupons,” you might want to consider running a promotion. Or if you see that people are searching for your branded term + “reviews,” you might want to create more content around product reviews.
Monitoring branded keywords can give you insights into how people are interacting with your brand and can help you make decisions about your marketing strategy.
Table of contents:
What does it mean to bid on branded terms?
When you bid on branded terms you are essentially paying to have your ad appear when someone searches for your brand name. This can be a valuable way to ensure that your company appears at the top of the search results where potential customers are more likely to see it.
There are a few things to keep in mind when bidding on these keywords. First, you need to make sure that your ad is relevant and useful to potential customers. Secondly, you need to be aware of how much you are willing to spend on each click. Finally, you need to monitor your branded terms closely to ensure that your ads are performing well and generating leads.
If you’re looking for a way to improve your visibility and reach potential customers bidding on branded terms can be a great option. Just be sure to do your research and bid wisely to get the most out of your investment.
What are the advantages?
There are several advantages to bidding on branded terms as part of your search engine marketing (SEM) strategy. First, branded terms tend to have high search volume, which means you can reach a large audience by bidding on these keywords. Second, branded keywords also tend to have high click-through rates (CTRs), which means that your ads are more likely to be clicked on when they appear for branded keywords. Finally, branded keywords can help you build brand awareness and equity over time.
While there may be some short-term costs associated with bidding on branded keywords, the long-term benefits of doing so can be significant. By bidding on branded terms, you can reach a larger audience, build brand awareness, and improve your search engine marketing (SEM) results over time.
What are the disadvantages?
When it comes to paid search, many marketers dispute whether or not it is worth bidding on branded terms. While this may seem like a good idea at first, it can actually end up costing you a lot of money in the long run. Here are three reasons why you may avoid bidding on these search terms:
1. You Might Waste Money
Bidding on branded keywords can generate only a small return for ad spend. The vast majority of people who search for your brand are already familiar with your company and are likely to convert without seeing an ad.
2. You’ll Miss Out on Long-Tail Keywords
By bidding on branded terms, you’re missing out on the opportunity to bid on long-tail keywords that are much less expensive and can still be highly relevant to your business. Long-tail keywords tend to have a lower search volume but they can be just as effective (if not more effective) in driving traffic and leads.
3. Your Quality Score Will Suffer
Your quality score is a measure of how relevant and useful your ad is to the people who see it. The higher your quality score, the lower your costs per click will be. Bidding on branded terms can actually hurt your quality score because it signals to Google that your ad is not relevant to the searcher’s intent.
If you’re worried that a competitor might bid on your branded keywords, you can relax. While it is technically possible for them to do so, it’s highly unlikely that they would actually gain any traction.
Here’s why: when someone searches for your branded terms, they are already familiar with your company and are likely looking for your specific product or service. If a competitor appears in the results, there’s a good chance the searcher will simply ignore them.
Plus, branded keywords tend to be quite expensive to bid on – most companies wouldn’t want to spend the money unless they were confident they could actually convert searchers into customers. So unless your competitor is really determined to steal your customers, it’s unlikely they’ll bid on your branded keywords.
Of course, this doesn’t mean you should completely relax when it comes to your branded terms. You still need to make sure you’re bidding on them yourself, so you can ensure you appear at the top of the results. And if you do notice a competitor starting to bid on your branded terms, don’t hesitate to take action – you may need to increase your own bids to stay ahead.
Is it worth bidding on a competitor’s branded terms?
When it comes to competitor’s branded terms, there are a few schools of thought. Some businesses believe that it is worth bidding on branded terms in order to capture some of their competitor’s traffic. Others believe that this is a waste of money as people searching for a specific brand are likely to find that brand regardless of where they search.
So, which is the right approach? Unfortunately, there is no easy answer. It really depends on the situation and what your goals are.
For example, if you are a small business trying to compete against a large corporation, bidding on branded terms may be a good way to get some of their traffic. On the other hand, if you are a large corporation with a well-established brand, bidding on branded terms may not be necessary.
Ultimately, it is up to you to decide whether or not bidding on branded terms is worth it for your business. If you are not sure, consider testing it out on a small scale to see if it is effective.